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Problem 10 Suppose that if you invest in a money market account you can get the annua lreturn of 10% during the next five years.
Problem 10 Suppose that if you invest in a money market account you can get the annua lreturn of 10% during the next five years. Your trustworthy TA suggest that, instead, you should enter into a business with him, guaranteed to return $30,000 every year for the next five years, for the initial investment of $100,000. Assuming you believe him, what is your estimate of the annual worth of the business
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